SEK flows: SEK stay soft after weak GDP

Swedish Q3 GDP has come in weaker than expected at -0.1% both q/q and y/y on a seasonally adjusted basis. There has nevertheless been minimal impact on the SEK, with EUR/SEK just a figure or so higher at 11.52. there were, however, significant EUR/SEK gains on Monday, which saw a ove from 11.46 to 11.50, which leaves open the possibility that gains were base don the expectation of a weaker GDP number today. Either way, we continue to see upside scope for NOK/SEK, which remains extremely low relative to the normal correlation with yield spreads. Bigger picture, the SEK may be one of the more vulnerable currencies in the event of a Trump victory, a concerns about higher tariffs and consequently lower world trade will tend to undermine highly open economies like Sweden.